‘Flash Crash’ Trader Navinder Sarao: It Was Wits, Not Bits (WSJ)
Navinder Sarao hasn’t spoken publicly since he was arrested Tuesday on charges of manipulating the U.S. futures market. But in emails released by regulators, the 36-year-old resident of suburban London called himself an “old-school” trader who excelled using “intuition,” quick reflexes and a computer mouse...In an email to the U.K.’s Financial Conduct Authority in 2014, Mr. Sarao described how he traded “very very fast because I have always been good with reflexes and doing things quick.”
MIT professor casts doubts on ‘lone trader’ Flash Crash theory (NYP)
...the details in the criminal complaint, much of which came from an unidentified whistle-blower, don’t go far enough in clearing up what happened that day, according to Andrei Kirilenko, a finance professor at the MIT Sloan School of Management and one of the co-authors of the government report. “The [DOJ] complaint describes that there was a particular trader who was engaged in a certain type of manipulative behavior,” Kirilenko told The Post in an interview. “It’s not really clear to me how that caused the Flash Crash.” Kirilenko co-wrote the September 2010 report from the Securities and Exchange Commission and the Commodity Futures Trading Commission that concluded a large sell order was probably to blame. At the time, Kirilenko was the CFTC’s chief economist.
Varoufakis Chided as EU Shuts Down Shortcut Bid for Aid (Bloomberg)
Euro-area finance chiefs said Varoufakis’s handling of the talks was irresponsible and accused him of being a time-waster, a gambler and an amateur, a person familiar with the conversations said, asking not to be named because the discussions were private.
Nasdaq Climbs to a Record, Again Fueled by Tech (WSJ)
On Thursday the index, propelled by hopes for an improving U.S. economy and Federal Reserve restraint in raising interest rates, rose 20.89 points, or 0.4%, to 5056.06, outrunning the high of 5048.62 set on March 10, 2000. Many investors doubted they would see a Nasdaq record again in their lifetimes, after the index tumbled 78%.
'Counterfeit' condoms sold through Groupon Australia recalled (UPI)
Condoms sold through Groupon Australia's website are being recalled over fears the "counterfeit" prophylactics contain flaws including holes. The Australian Competition and Consumer Commission said on its Product Safety Recalls website the recalled condoms had the branding of Durex's "Extra Safe," "Thin Feel" and "Performa" product lines, but they "may be counterfeit products with defects such as holes in the latex."
Two Probes Proved Too Much for Comcast (WSJ)
Comcast Corp.’s soon-to-be abandoned plan to acquire Time Warner Cable Inc. ran up against the challenge of overcoming scrutiny by two federal agencies, including a Justice Department antitrust review that was more skeptical than some expected. Both the department and the Federal Communications Commission conducted exhaustive reviews of the $45.2 billion deal, with Justice raising competition concerns and the FCC considering whether the tie-up was in the public interest. FCC staff put up stiff resistance to the deal, a factor that played a key role in its demise.
New Hostess owners looking to flip Twinkie-maker for $2 billion (Bloomberg)
The $2 billion figure is roughly 10 times the company’s annual $200 million of Ebitda (earnings before interest, taxes, depreciation and amortization), according to sources. At that price, the owners — Leon Black’s Apollo Global Management and billionaire C. Dean Metropoulos — would reap $1.5 billion from their $200 million equity investment in the business, after subtracting $500 million of debt.
HSBC Reviews Moving Headquarters From London On Regulation (Bloomberg)
A move to Hong Kong, viewed by analysts as the bank’s most likely destination should it relocate, would unpick a structure that’s existed since the Hongkong and Shanghai Banking Corp. acquired Britain’s Midland Bank Plc in 1992. A transfer should cost no more than $1.5 billion because HSBC still has a base in the former British colony, said Chirantan Barua, an analyst at Sanford C. Bernstein Ltd. in London.
Jobless Claims Rise Slightly in April 18 Week (WSJ)
Initial jobless claims, a proxy for layoffs across the U.S. economy, increased by 1,000 to a seasonally adjusted 295,000 in the week ended April 18, the Labor Department said Thursday. Economists surveyed by The Wall Street Journal expected 290,000 claims.
Man Gets Wedged In Wall While Hiding From Cops (AP)
Steven Shuler was trying to avoid arrest on a probation violation Monday when he squeezed down a narrow hole in the attic floor next to the chimney in his home in Monrovia, about 25 miles southwest of Indianapolis, officials said. Morgan Township Fire Chief Miguel Ongay said Shuler had to stay in his 16 inch-wide hiding place for more than a day because he couldn't climb out. A visiting friend found him Tuesday morning and called firefighters to retrieve him. Ongay said he had never encountered anything like that in three decades on the job. "It was a special kind of stupid. This is one of those jobs where you think you've seen it all and then somebody tops it," he said.